14 September 2015

TROY TO CONVERT CURRENCY OF LOAN FACILITY WITH INVESTEC BANK AND RESETS HEDGE BOOK

Troy Resources Limited (ASX: TRY) advises that following its recent review of operational performance at Casposo and the consequent implementation of a revised plan of action, the Board initiated a treasury risk review of the profile of the Company's existing hedge commitments and its loan facility with Investec Bank Plc (Investec).

Given the imminent start of gold production from Karouni and taking account of the changing nature of activities at Casposo, the Company entered into discussions with Investec as to how it might better align the hedge profile and loan facility based on the updated production schedule and current market factors and conditions.
As a result of these discussions, the Company:

• Has initiated the process of converting Troy's A$100 million loan facility with Investec into a US$ denominated arrangement. This represents a logical step given that ongoing cash-flows generated within the Group will be in US$ and this will then provide for a natural hedge. The conversion also serves to lock in benefits gained from recent weakness in the local currency during the construction of Karouni and also provides for access to lower interest rates; and

• Agreed a reduction in its mandatory hedging requirement from 100,000oz to 75,000oz of gold realizing a gain of approximately US$10 million (before tax). The reduced hedging profile has an average price of just over US$1,100/oz.

ENDS

For further information please contact:

Martin Purvis Stacey Apostolou CEO Company Secretary Troy Resources Limited Troy Resources Limited T: (61 8) 9481 1277 T: (61 8) 9481 1277

E: [email protected] E: [email protected]

14 September 2015 | 1